Taxes

Graham

Whilst UK and EU are fairly straight forwards (VAT)

USA tax is only charged to residents or billing/shipping addresses within the same state as the store - and to make it more complex it varies from State to State AND worse still, by County. EVEN worse still :- sometimes there is City tax as well.

To "out of state" buyers NO tax is charged - it is up to the buyer to declare it "LoL"

Tax profile of 7.5% is an average.

In NC it is illegal to absorb the tax - it MUST be passed on to the buyer
so to some counties/districts it can get up to 8.75%

I have no idea how you can address this unless maybe make it a user entered amount by store...

This is also what is holding me up from opening my store - darn taxes!! :-&

Lawrence

A few thoughts on this. With EU VAT as you know it is currently based so we can tell the user the exact price when they first hit the website. If I understand correctly, in your case, the customer would only be told the price has gone up after they provide their shipping address?

Would you want to for example have some settings panel where you can specify states/county/city and specify percentage taxes for each?

Another complication is the EU VAT system, sellers enter their prices including VAT, and then the VAT is removed for non-VAT people. I'm guessing in your case, you would want to enter your prices without tax, and then have the tax added on top for the people it applies to?

Graham

Something like that - all prices shown in the US are exclusive of tax. (except for (I think) Gas/Petrol)

There is no nation-wide (federal) sales tax, only State sales tax, which varies by State from 0 - 10%.
(It's like each state is a different country similar to EU sellers won't/shouldn't charge VAT to buyers in Norway or Switzerland)

A seller is ONLY required to collect tax from in-state sales (for me that is all buyer's in North Carolina - OR for an order shipping to an address in North Carolina)

Some states allow sellers to "absorb" (include in the sales price) the tax (as long as it's paid they don't care)

NOT North Carolina - a seller is required (by law) to "pass on" sales tax to the buyer and report/pay it.
Penalties for non-compliance are harsh!

The only fix I can see is that I will have to require buyers in NC to request a quote.

The only time tax will be charged to "out of state" buyers is when the "ship to" address is in North Carolina

I hope that explains it! ?

Graham

Unless you can find a way of including a "home state" exception in either Tax Profile OR payment/shipping restrictions??

Graham

Thing is it may be a whole lot of work for a very few orders!

I have added some text to my home page (if any one reads it) - and to standard paypal check out option - I can't add anything to PayPal Payments Pro - could you add a text box there? I have it disabled at the moment.

I am not sure how many (If any) other States this "must pass it on" law applies to...

Many thanks for all your attention to comments BTW